Thursday, February 3, 2011

Performance of India in World Cup 2011 and AD Revenue for TV Channels

Indian national cricket team is a hot-cake when it comes to advertising revenue for television channels during a major cricket tournament like Cricket World Cup. Advertisers and television channels are now busy with another 50-over World Cup coming nearer. This time the tournament will take place in South Asia and India is one of the three hosts. So, the craze for cricket is very high in India at the moment.

However, television channels did have a bitter experience in the 2007 World Cup that took place in West Indies. Indian cricket team was knocked out of the tournament at the group stage and their failure to reach the Super Eight round was a crucial blow for the television channels like Set Max, SAB TV and DD as well as for the advertisers. India lost to Bangladesh and Sri Lanka, and experienced an early exit from the tournament. Set Max suffered a loss of around Rs 70 to 80 crore as India’s World Cup mission ended just after 3 games.

This time ESPN and Start Sports hold the TV rights of the World Cup and they would try to avoid the fate Set Max suffered 4 years back. However, a lot would depend on the performance of Indian cricket team in the tournament.

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